A company that sells hand-made pasties across the UK has been bought by two of its directors in a deal that also secures funding to grow the business.

West Cornwall Pasty is now under the ownership of chief executive Richard Nieto and finance director Patrick Magrath.

The financial terms of the buy-out have not been disclosed, but Gresham Private Equity provided the funding.

Nieto said with Gresham’s support management would be able to grow the business. “The new funding will enable us to implement our roll-out plans and we are excited by the opportunities that lie ahead.”

Gresham’s investment was managed by partner Christian Bruning, who said the firm has backed the management duo to take the business to the next stage of its growth. “We have put together an equity package that will enable the company to open more than 50 units across the UK and the potential to make acquisitions.”

To help Nieto and Magrath to grow the business Gresham has introduced Paul Twamley as chairman. Twamley is a private equity veteran who will add strategic input to management’s plans.

Gresham appointed Victoria Railton, an associate at Giles Insurance Brokers, to perform a due diligence review of the target company.

Railton’s team assessed the risks and liabilities associated with more than 50 premises, which were located in some of the UK’s busiest commuter stations and shopping areas.

West Cornwall Pasty is headquartered in Porthleven, Cornwall, and was established in 1988 to sell hand-made traditional Cornish pasties. It has 55 sites nationwide, which comprises 34 shops, 18 station kiosks, one bar and two mobile units.